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HONG KONG, June 2 (Xinhua) -- Mainland-based telecommunications giants China Unicom and China Netcom, both listed on the Hong Kong stock exchange, announced Monday that each share of Netcom will be exchanged for 1.508 Unicom shares in a proposed merger. The rate was based on the price of China Netcom shares on the Hong Kong mainboard before their suspension from trading on May 23, with a 3 percent premium, said Tong Jilu, executive director and chief financial officer of China Unicom. Chang Xiaobing, chairman and chief executive officer of China Unicom, also said each American depository share of China Netcom will be exchanged for 3.016 American depository shares of the new China Unicom, subject to shareholders' approval. (L-R) China Netcom CFO Li Fushen, China Netcom Chairman and CEO Zuo Xunsheng, China Unicom Chairman and CEO Chang Xiaobing and China Unicom CFO Tong Jilu join hands after announcing the merger of China Netcom and China Unicom in Hong Kong, South China, June 2, 2008. China Unicom also said it reached a framework agreement with China Telecom under which China Telecom will buy CDMA business and CDMA network from China Unicom Group. The merger is expected to be completed in October this year after the shareholders' conferences in September if everything went ahead smoothly, Tong said. The merged group, possibly bearing the name of China Unicom, will have an enlarged capital of 23.76 billion shares, worth a total of 439.17 billion yuan (63.28 billion U.S. dollars). It is expected to be a provider of integrated services including mobile and fixed-line telecommunications, broadband, data and value-added services. "The merger is in line with the trend of convergence of fixed- line and mobile networks, and is expected to enable the merged group to set clear strategy," Chang said, referring to the direction for the company to pursue 3G strength. China Unicom, currently one of the telecommunications giants in the Chinese mainland, is a far second to the largest mobile carrier China Mobile, while China Netcom is a provider of fixed line telecommunications and broadband services. The merger was currently between the Hong Kong-listed China Unicom Limited and the China Netcom Group Corporation (Hong Kong) Limited, but not a merger between their mother companies, Chang told a press conference held in Hong Kong. China Netcom will cease to exist as a listed firm after the merger, subject to approval from the shareholders at the company's annual conference, which is expected in September, said Zuo Xunsheng, chairman and chief executive officer of China Netcom. Shares of both companies will resume trading on Hong Kong exchange on Tuesday. The merger was part of a major regrouping in the Chinese telecom industry aimed at more competition by forming three providers of integrated services after regrouping. State authorities issued an announcement on May 24, saying that they "encouraged" a regrouping of the telecom corporations to form three providers of integrated services to increase market competition. China Mobile has recently announced a proposal to buy fixed-line operator China Tietong, or Railway Telecommunications. At a separate press conference in Hong Kong on Monday, the HongKong listed China Telecom announced that it has reached an agreement to buy the CDMA services of China Unicom, thus making it one of the three integrated services providers, too. China Unicom also announced at the conference that it will sell its CDMA services at 43.8 billion yuan (6.31 billion U.S. dollars)and that its mother firm China Unicom Group will sell its CDMA network at 66.2 billion yuan (9.54 billion U.S. dollars) to China Telecommunications Corporation, the mother firm of China Telecom. Speaking at a separate press conference in Hong Kong, Wang Xiaochu, chairman and chief executive officer of China Telecom, said that the deal is expected to be completed in October, subject to shareholder approval at annual conferences in September. China Telecom will pay for the transaction in cash, Wang said, adding that he expected the CDMA part to contribute net profit as early as 2012, although the deal could impact the earnings record of the company in short term. The regrouping will result in three separate providers of integrated services, with most of the analysts saying that they expected China Unicom to benefit the most from the regrouping whereas the strength of China Mobile could be reduced. Others, however, said they expected China Mobile to remain the giant among the giants and retain most of its power in the mainland telecom industry. Chang, head of China Unicom, also warned against "over optimism" about the increased strength of the merged company, saying it required long-term effort.
BEIJING, April 27 (Xinhua) -- Chinese Vice Premier Li Keqiang on Sunday urged Hainan Province, China's largest special economic zone (SEZ), to further carry out reform and opening up as it embraces its 20th anniversary. The province should "beef up reforms and make efforts to achieve breakthroughs in key fields", said Li during his inspection tour to the island province from Thursday to Sunday. He suggested that the province should build itself into a shipping hub and center of logistics and export-oriented processing facing southeast Asia. Chinese Vice Premier Li Keqiang checks the drinking well in the local village during his inspection tour to Hainan Province on April 27. Local authorities were also told to "adjust and optimize the industrial structure from a high starting point" and place priority on protecting the environment and ecology. Meanwhile, the results of reforms and opening up should be enjoyed by the masses, said Li, who called for more attention to solving problems concerning ordinary people's livelihood such as medical care and housing. Li visited factories, ports, hospitals, schools and rural families in Hainan, which celebrated its 20th anniversary on Saturday. Chinese Vice Premier Li Keqiang talks with a worker in the workshop during his inspection tour to Hainan Province on April 25 With an area of 34,000 square kilometers, the tropical and sub-tropical island was established in 1988 as a province and approved as a special economic zone enjoying preferential development policies. It saw its gross domestic product expand 7.6-fold in real terms in the past two decades while pioneering in experimenting with the market economy and in other fields of foreign investment use, agricultural tax and education. China's other four SEZs are Shenzhen, Zhuhai, Shantou and Xiamen, all southern cities.

BEIJING, May 19 (Xinhua) -- China on Monday began a three-day national mourning for the tens of thousands of people killed in a powerful earthquake which struck the country's southwest on May 12. At 4:58 a.m., the national flag at the Tian'anmen Square in downtown Beijing flew at half-mast after a complete flag-raising ceremony. About 2,600 people watched the flag-raising ceremony in the square. "I have been watching TV to know the disaster situation these days," said Yu Huilin, a 58-year-old retired teacher. Yu just arrived in Beijing by bus in the early hours on Monday from eastern Shandong Province. "It's really heartrending," she said. "But I see the quake-affected people have got help from so many people. I believe they can recover from the disaster soon rebuild their homes." China's national flag flies at half-mast after the flag-raising ceremony on Tian'anmen Square in Beijing Monday morning, May 19, 2008. China on Monday begins a three-day national mourning for the tens of thousands of people killed in a powerful earthquake which struck the country's southwest on May 12 All national flags will fly at half-mast at home and Chinese diplomatic missions abroad from Monday to Wednesday. Public recreational activities will be halted during the mourning period. At 2:28 p.m. Monday, Chinese citizens nationwide will stand in silence for three minutes to mourn for the victims, while air raid sirens and horns of automobiles, trains and ships will wail in grief. In the mourning period, condolence books will be opened in China's Foreign Ministry and Chinese embassies and consulates around the world. The Beijing Olympic torch relay will also be suspended from Monday to Wednesday. The death toll from the massive quake rose to 32,476 nationwide as of 2 p.m. Sunday, while the injured numbered 220,109, according to the emergency response office under the State Council. Among the dead, 31,978 were in Sichuan alone with the rest in six other provinces and a municipality. The quake hit Wenchuan County, Sichuan Province, at 2:28 p.m. of May 12. Many other areas were also affected. The search, rescue and disaster relief efforts are continuing. Some 113,080 Chinese soldiers and armed police have been mobilized to help with rescue operations. Rescue teams from Russia, the Republic of Korea, Japan and Singapore, as well as Taiwan and Hong Kong regions, have also joined in relief efforts. Rescuers carry Shen Peiyun, who is saved 145.5 hours after Monday's earthquake, to a hospital at Yingxiu Township of Wenchuan County, the epicenter of Monday's earthquake in southwest China's Sichuan Province, on May 18, 2008. Fifty-three years old Shen Peiyun was saved on Sunday after the rescuers' eight-hour efforts.
BEIJING, Sept.1 (Xinhua) -- China's securities watchdog on Monday required fund companies to make their information release more transparent and rolled out a draft regulation on brokers, its latest moves to boost the healthy development of the country's stock market. The information of stock-oriented funds, such as their periodic results, would be regularly publicized on the website of the China Securities Regulatory Commission, according to a standard format in the eXtensible Business Reporting Language (XBRL), starting from Jan. 1 next year, the CSRC said in a statement on Monday night. "The move was to further improve the quality of information release by fund companies," said the CSRC. The new rule was expected to help third-party agencies to appraise and supervise the management of fund companies. Previously it was difficult for a third party to collect and analyze the first-hand information of funds, which was not available to all. Meanwhile, the CSRC said a new regulation on securities brokers would prohibit them from surpassing their authority by manipulating customers' accounts or providing investment counseling. The dealers would also be forbidden to "offer or spread false, misleading information", or "tempt customers to make unnecessary deals," said the CSRC. Nor could they make agreements on sharing investment proceeds with customers, or promise gains or compensation for losses. "It was aimed at protecting the legal interests of fund investors and ward off risks caused by ill regulation of securities dealers," said the CSRC in a separate statement. The watchdog's actions were part of China's recent efforts to straighten out the stock market order and lay a sound foundation for a long-term development. The CSRC announced earlier this month it would raise the refinancing threshold for listed companies, saying the dividend they pay to shareholders in the recent three years should be no less than 30 percent of its distributed profits, compared with the previous set line of 20 percent. Refinancing plans of listed companies had led to share price declines and complaints in China as liquidity concerns loomed over the stock market. Investors also blamed their losses on insider trading and opacity of fund companies. Last week, a draft amendment to the Criminal Law was submitted to China's top legislature, stating that employees of financial institutes will face criminal prosecution for insider trading. Currently there were no relevant provisions in the Criminal Law. China's benchmark Shanghai Composite Index has shed more than 60 percent from its peak in mid October last year. In the first half, 364 funds in the country incurred a record loss of 1.08 trillion yuan (about 154 billion U.S. dollars), more than 90 percent coming from stock-oriented or hybrid funds, according to statistics from the TX Investment Consulting Co..
BEIJING, Sept. 14 (Xinhua) -- Millions of Chinese have used this year's mid-Autumn Festival, which fell on Sunday, to get together with family and loved ones. This year the Chinese government made the festival a three-day national holiday for the first time. Railways and buses from Chengdu, capital in southwest China's Sichuan Province, carried 180,000 people to quake-battered cities in the province on the first day of the holiday on Saturday, according to the transport authority. "The holiday gave us a break from work to go back home to see my parents in Shifang City, after it was hit by the earthquake in May," said a man surnamed Li, while waiting in a crowded bus terminal in Chengdu. Radio broadcast at the terminal reported travel was difficult, because of repairs on the road or damage from the earthquake. Home-going passengers, many holding packages of mooncakes, stood waiting. Li said the passengers shared a common understanding that the festival's tradition of family values made the trip home more meaningful, and people with painful memories of the disasters cherished such chance. Elsewhere in the country, people preferred to share the holiday feeling at home or on short family trips to tourist spots, instead of going far for travel, according to travel agencies. Leading Chinese travel services like China Travel Service and CCT Travel reported slack booking for Mid-Autumn travels. A staffer at the CCT Travel's office in scenic Guangxi Zhuang Autonomous Region in southwest China said that travel for the week-long National Day holiday in Oct. was booked up. However, the business in the Mid-Autumn holiday was sluggish. Spectators hold placards that read "Welcome" and "Happy Mid-Autumn Day" during a match at the Beijing Olympic Green Tennis Court Sept. 14, 2008. People from around the world are gathering in Beijing and enjoying the Mid-Autumn Festival, a Chinese traditional festival for family reunions which falls on Sept. 14 this year. Liao Wei, manager of the Chongqing Office of China Travel Service, said that the company had planned in vain to open some new routes featuring the Mid-Autumn activities. "We thought of something like a full-moon observing tour of scenic spots, but the market reaction to such ideas was bad," he said. He said that after devastating disasters this year, Chinese people preferred a peaceful and consoling break such as family reunions over long-distance travels. Folk experts held that the Mid-Autumn Festival is second only to the Spring Festival, or China's Lunar New Year, in conveying the core value of the Chinese nation -- family values. A woman takes pictures as her child looks at chrysanthemum at the Shangzhi Park in Harbin, capital of northeast China's Heilongjiang Province, Sept. 14, 2008This was why some law makers like Fan Yi, rector of the Foreign Languages College of Ningbo University in east China's Zhejiang Province, proposed to turn the festival into a national holiday last year. "The Mid-Autumn holiday has the power to ease the home-bound travel spree in the Spring Festival, and help revive traditional values in the modern time," he said. The festival tradition reminds people living far away from their native lands for better education conditions or better-paid jobs to go back to their family roots, he said. The Mid-Autumn Festival, also known as the Moon Festival, falls on the 15th day of August on the lunar calendar. It is celebrated in many Asian countries.
来源:资阳报